HB 5806 creates a new state tax credit for individuals and businesses that invest in affordable housing projects in Michigan starting in 2027. The bill allows these investors to reduce their income tax by a specific amount tied to their share of the project, provided they receive approval from the State Housing Development Authority. It also establishes rules for how investors must report the credit, handle situations where federal tax credits are lost, and carry forward any unused credit for up to 10 years.
SB 966 amends the State Housing Development Authority Act of 1966 to add new powers for the State Housing Development Authority in Michigan. The bill allows the authority to establish and collect fees for its publications, loans, and related services, and to use the resulting income for its corporate purposes. These funds are not considered interest and can be used to support the authority's housing initiatives, provided they are not pledged for bond repayment. The legislation directly affects the State Housing Development Authority by expanding its financial and operational capabilities to better serve housing needs across Michigan.
SB 968 amends Michigan's insurance code to allow insurers to claim a credit against a specific tax on foreign insurers that are subject to higher fees or taxes in their home states. This provision, effective for tax years starting on or after January 1, 2027, permits eligible insurers to offset the tax amount equal to the state low-income housing tax credit they would otherwise qualify for. The bill directly affects domestic insurance companies that operate in Michigan and are impacted by discriminatory or excessive tax burdens imposed by other states or countries. It is part of a series of related bills designed to promote interstate business for Michigan insurers while maintaining existing tax structures for those not meeting specific criteria.
This bill amends Michigan's Use Tax Act to provide ongoing tax exemptions for data center equipment used by qualified data centers and enterprise data centers. To maintain these exemptions, the state requires facilities to meet specific job creation thresholds and submit annual reports to the Michigan Strategic Fund regarding employment, investments, and compliance with green building standards. The legislation also establishes a formal certification process where the Michigan Strategic Fund reviews applications and issues certificates to facilities that meet the criteria for enterprise data centers.
Senate Bill 896 amends Michigan's Use Tax Act to clarify and update the list of property and services exempt from the tax. The bill directly affects various businesses and organizations, including vehicle dealers, agricultural enterprises, schools, and religious institutions, by specifying conditions under which they do not owe the tax. Key provisions include maintaining exemptions for items purchased for resale, property used in farming and livestock operations, and goods brought into the state by nonresidents for temporary use. Additionally, the bill sets specific limits on the number of demonstration vehicles new car dealers can purchase tax-free based on their annual sales volume.
This bill requires the Michigan legislature to provide annual funding to the Michigan Geological Survey to support its statewide responsibilities. The law mandates that each year's appropriation must be at least as much as the amount given for the fiscal year ending September 30, 2025. By securing this minimum funding level, the bill ensures the agency has the financial resources needed to carry out its duties without interruption.
This bill creates a new "Safeguarding Tomorrow Revolving Loan Fund" within the state treasury to support disaster recovery efforts. It authorizes the state treasurer to deposit federal disaster relief funds and other assets into this fund, which will be invested to generate interest that remains in the fund rather than being returned to the general budget. The designated department will manage the fund, using its resources only to cover administrative costs, while allowing political subdivisions and recognized tribes to borrow money from it for disaster-related expenses under existing federal guidelines.
HB 5775 amends Michigan's individual income tax law to create a new tax exemption for post-graduation scholarship grants. This change directly affects individuals who receive these specific scholarship awards, allowing them to exclude that income from their state taxable income. The bill modifies Section 30 of the Income Tax Act by adding a new provision that treats post-graduation scholarship grants similarly to other educational benefits currently exempt from taxation. By removing these grants from taxable income, the legislation reduces the amount of state tax residents must pay on this specific source of funding.
HB 5853 requires cities in Michigan that impose an income tax to allow residents and businesses in designated Renaissance or HOPE zones to claim a tax deduction. The bill mandates that city income tax ordinances be updated to let qualified taxpayers subtract specific amounts of income earned within these zones, including wages, capital gains, and lottery winnings. This change directly affects individuals and businesses operating in areas officially recognized for economic revitalization, providing them with a financial incentive tied to their location. By amending state law, the bill ensures that local tax rules align with existing state-level incentives for these designated zones.
This bill amends Michigan's Commercial Rehabilitation Act to clarify how the commercial rehabilitation tax is calculated for specific types of properties. It establishes that owners of qualified facilities must pay an annual tax based on their property's taxable value, with funds distributed to the state, local governments, and school districts in the same proportions as regular property taxes. A key provision exempts properties located in designated Renaissance or HOPE zones from this tax, provided they meet the requirements of those specific economic development programs. Additionally, the bill includes a special calculation method for retail food establishments that received their exemption certificates before December 31, 2009. The legislation is tied to two other bills, meaning it will only take effect if those companion bills are also enacted into law.
